"Sequestration" of federal money means that Congress requires that the Executive Branch hold back federal expenditures even though the money has been earlier budgeted.

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Sequestration is a process that requires automatic, across-the-board spending cuts to be implemented in the event that Congress and the President cannot agree on a budget or deficit reduction plan. These cuts are typically implemented after the budget has been approved and funds have been appropriated. However, in some cases, Congress may also require the Executive Branch to hold back or delay the expenditure of funds that have already been appropriated in order to achieve broader budgetary goals. This is also considered a form of sequestration.

"Sequestration" of Federal Money Means That Congress Requires That the Executive